The Benefits Of International Trade: Specialization And Trade Values

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Trade occurs because different people have different skills. You put your car to auto repair technicians, because he had a good. You buy orange juice from Florida, where the climate is suitable for planting oranges. By the same token, you buy products from overseas, because they can have more advantages in another country. The importance of specialized in trade has been recognized for centuries. Individuals, cities, countries and regions specializing in what they do best and trade surplus. Specialization and trade can improve the standard of living for all of our trading partners. (Metcalf, 2011) International trade, also known as the international trade value, it is expressed in monetary reflection of world trade in certain period of time the size of the total foreign trade, and it can reflect the total amount for the trade during the period, also known as the international trade. (Heakal)…show more content…
This type of world economy is the trade, price, supply and demand and the shadow world events. Political change in Asia, for instance, it may lead to the increase of labor cost, to increase the production cost of Shoes Company because of its headquarters in Malaysia. this will lead to increase, you must pay the price in your local stores to buy tennis shoes. (Robert, 2015) Reduce labor costs, on the other hand, will cause you have to pay for fewer new shoes. Trade makes consumers and countries around the world have more needs for goods and services in their own country. Almost every kind of product can be found in the international market: food, clothes, accessories, oil, jewelry, stocks, currency, alcohol and water. Trade in services: tourism, banking, consulting, and transport. Products are exported to the global market is an outlet, and buying goods are imported from international market. Imports and exports are accounted for the main cause of a country's economic

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